VIVA reports KD 19.5m net profit
KUWAIT: VIVA, Kuwait's fastest-growing and most developed telecom operator, announced the financial results for the six-month period ended 30 June 2017; whereby VIVA's net profit grew to reach KD 19.5 million recording a growth of 1 percent compared to the same period in 2016; whereas the revenues during the first six-month period in 2017 reached KD 133 million. VIVA achieved these results due to a bundle of innovative plans and offers to meet all customers segments' needs and aspirations, in addition to direct customer-focused marketing campaigns.
Commenting on the six-month's financial results, Dr Mahmoud Ahmed Abdulrahman, VIVA's Chairman said: "Despite the high competition witnessed in the Kuwaiti Telecom Market, VIVA was able to achieve a growth in the profitability, in addition to sustaining the operational efficiency thus generating positive return to our shareholders. The witnessed growth in VIVA's profits was a result of the approved business strategy to be one of the most developed telecom companies in Kuwait and the region. Moreover, our positive and key role, as a pioneer telecom company, always contributes in providing smart telecommunications solutions to satisfy our customers' aspirations and needs."
He added, "VIVA was able to achieve net profit of KD 19.5 million (earnings per share of 39 fils) during the six month period ended 30 June 2017 compared to net profit of KD 19.4 million (earnings per share of 39 fils) during the same period in 2016. These results achieved by VIVA during the first six-month period in 2017 reflect the efficient business strategy adopted by the company to achieve outstanding results despite of the increasing competition. In addition, VIVA managed to achieve positive earnings for its shareholders as a result of the commitment to elevate the quality of customer service and improving the operational efficiency".
On his part, Eng. Salman bin Abdulaziz Al Badran, VIVA's CEO said: "Results of the sixmonth period ended 30 June 2017 came in line with VIVA's goals and boundless ambitions to achieve an increase in its operational revenues and strengthen its leadership in the telecom market. It is noteworthy to mention that, VIVA has won many awards including "Best Telecommunications Company of the year, Kuwait 2016" by International Finance Magazine in recognition of the telecom firm's exceptional performance and leadership role through innovative solutions and technology, which serve all the segments in the Kuwaiti market."
He said, "The Best Contact Centre Experience", "Excellence Governance Award", "VIP Customer Service Award", ISO/IEC 27001:2013 certification for Information Security Management System, attaining global status by meeting applicable mandatory requirements from two leading entities International Organization for Standardization (ISO) and the International Electro technical Commission (IEC). In addition VIVA successfully established the first Voice Over LTE (VOLTE) interconnection in the Middle East and North Africa region in partnership with a local network, and was the first telecom company in Kuwait that has successfully tested the fifthgeneration "5G" in its lab that will enable customers to exchange information and communicate at higher speeds."
Al-Badran added, "VIVA has achieved good levels of profitability which improved the company's financial and operational efficiency. As a result, VIVA recorded revenues of KD 133 million during the first-six-month period in 2017 and achieved net profit of KD 19.5 million (earnings per share of 39 fils), whereas the operating profit has reached KD 20.8 million during the same period. On the other hand, VIVA customer base has reached 2.2 million at the end of June, 2017."
"VIVA's financial results reflect its ability to compete, sustain revenues and maintain its position as the second largest telecom operator in the Kuwaiti market in term of revenues in the telecom sector. The company managed to decrease its leverage ratio due to its conservative financial policy to reach 0.27x at the end of June 2017 as compared to 0.55x recorded at end of June 2016". He added, "We will continue our hard work in implementing our strategy to maintain our competitive edge and achieve further growth and success in the Kuwaiti telecom market through offering innovative products and services in line with the latest technology to meet our customers' needs."